Description

Czech Republic Telecommunications Report Q1 2016

BMI View: The Czech telecoms market is on the verge of a change, as the first stage of connecting userscomes to a close. The mobile market is saturated, meaning that operators must newly deepen their customerbases, while the fixed market requires heavy investments into advanced technologies. O2's split between aservice and infrastructure company, the latter being called CETIN, may help provide greater broadbandinvestments to meet the demand for content and other advanced services required by Czech customers.

ARPU will remain low because of competition. Uptake of new services, such as smartphones, LTE, fibre orconvergence, will happen in stages across the country.

Key Data

The mobile market dropped 4,000 subscriptions to reach 14.424mn, the second consecutive quarter of netlosses

O2 reported more VDSL than ADSL subscribers for the first time in Q215, at 404,000 and 395,000respectively